Market segmentation. What is it? Market segmentation is finding your target audience by grouping people together based on similar interests and needs.
Think of your favorite brands. Many brands have the goal to find their fit within the market. This may seem like businesses are putting themselves into a narrowly defined box; however, this is what separates strong brands from weaker ones.
Think of Geico. Geico is established as an affordable, hassle-free insurance company. Geico successfully segments their market by age, 16-19, 20-60 and 60+, conveys a consistent message, “15 minutes could save you 15% or more on car insurance,” and tailors to clients’ needs. Geico has many campaigns to appeal to different audiences. For example, Geico’s gecko is geared towards tech-savvy millennials, yet the gecko resonates with all ages. Within each campaign is a consistent slogan referring to the ease and simplicity of Geico. Although Geico targets certain audiences, they have grown tremendously because their marketing crosses demographic boundaries.
At Wilson Creative Group, we are a business-to-business organization. Through advertising, we reignite brands, meet client goals and spark communication, as well as partnerships, between businesses. In order to help our clients succeed, we strategize and utilize market segmentation. Also, as an outside ad agency, we offer businesses a fresh perspective.
Whether you’re an advertising expert, entrepreneur or business man/woman, market segmentation is a key component to keep your brand thriving. Take a look at established brands, such as Target, Allstate or Progressive. Identify the key strategies that make certain brands more successful over others. Market segmentation, along with a consistent and clear message, resonates with audiences and creates an established and effective brand.